Daniel Shin denies hand in Terra’s collapse
Lawyers for Daniel Shin, co-founder of Terraform Labs, told a South Korean court that he did not contribute to Terra’s collapse in any way after being charged with fraud and embezzlement. Following a preliminary hearing in July 2023, Shin’s attorneys said fellow founder Do Kwon was responsible for Terra’s crash and the implosion of its two tokens, Luna Classic and algorithmic stablecoin UST. The former Terra executive appeared before a Seoul Southern District Court today. According to a Munhwa Broadcasting Corporation report translated by Google, Shin’s defense accused Kwon of launching external attacks on his own company and pointed to the Anchor protocol as another chief reason for Terra’s tumble. The defense said Anchor was unreasonably managed and onboarded users with an unsustainable business model. Anchor was a yield-generating platform built atop Terra’s blockchain that allowed UST depositors to earn 20 percent interest on their stablecoins without worrying about volatility...